Stablecoin-driven new bank KAST completes $10 million seed round, led by Peak XV and HongShan

Stablecoin-driven new bank KAST has completed a $10 million seed round of financing, led by Peak XV and HongShan, with participation from partners at DST Global and Goodwater Capital. KAST declined to disclose the number of users or valuation, but said its growth in the first four months of operation has exceeded expectations. Peak XV and HongShan are Indian and Chinese investment institutions that spun off from investment giant Sequoia last year. KAST is a dollar-denominated new bank-like platform that allows customers to hold and use stablecoins through traditional payment channels. Kast also issues credit cards compatible with standard merchant networks, allowing users to use their stablecoins at merchants that do not support crypto transactions. Co-founder Raagulan Pathy, who previously led Circle's Asia-Pacific business, said that the banking infrastructure in many countries is seriously lacking in cross-border capabilities. The platform aims to reduce friction in international payments by bypassing traditional banking networks. (TechCrunch)